GEPOSB

Introduction

GEBZE PLASTIC MANUFACTURERS ORGANIZED INDUSTRIAL ZONE

1.PURPOSE OF GEPOSB
If is considered as an indispensable requirement that KOCAELÄ°/GEBZE Provincial District one of the most important industrial centers of the World and Turkey, should be provided with industrial investments designed to support our countryâ€™s economy. By taking info consideration the already existing industrial facilities serving as a model in the area as well as the needs of our province, a real miracle of nature with its history and its sea and sun, this project aims to carefully select the types of industry that would not cause any environmental pollution, and by keeping such industrial investments under control during the stages of both installation and operation and bringing then together to operate in the same area, to create and assign industrial lots of low cost with readily available complete infrastructure and help them to develop. Gebze Plastic Manufactures Organized Industrial Zone is a big project started with an aim to contribute to the economy of both the Region and our Country by attaching prime importance to the relationship between people and environment and by adopting a policy based on awareness against environmental pollution. The project also covers the realization of all required infrastructure on areas of land not suitable for agriculture and tourism, the preparation and installation of social activity areas and facilities for employees, and the ensuring of continuity of services during all periods.

2.ESTABLISHMENT OF GEPOSB AND ITS BRIEF HISTORY
Gebze Plastic Manufactures organized Industrial zone has been established on 120 hectares of land in Gebze by the strong and dynamic firms of Plastic Sector by application of a project providing modern solutions to the needs of the Sector. After the purchase of said 120 hectares of land in Gebze in 1992 by the Plastic Manufactures Collective Workplace Building Cooperative, the investments Started in 1994. At a certain stage of the Project it was understood that the adoption of an Organized Industrial zone status for the investment would be advantageous from many aspects, necessary initiations were started for this purpose. After completion of studies the organization was granted in January 2001 the status of a legal entity as Mixed OSB With Registration Number 44.

While it was originally a piece of land covering 120 hectares, with the realization of its envisaged plans, the GEPOSB has now attained a level to satisfy all the needs of plastic industry, and with the purchase of 135 decares of land from State Highways Administration, it has reached a size of 1335 decares, expected to grow to a total land area of 160 hectares with its future expansion areas. All the lofts have been assigned to the use of its members. The number of lots has reached a figure by 196, while the building-up rate to a figure around 60%.

The PAGEV Anadolu Vocational High School which was installed jointly by GEPOSB and PAGEV on a land area of 6.5 decares donated to PAGEV by GEOSB in order to meet be need for trained technical personnel, which is recognized as a fundamental problem of Plastic Industry, commenced teaching during the Education Year 2002-2003 with its 2 preparatory classes.

As of today, the number of firms engaged in active operation has reached a figure of 76 while those presently in construction to a figure of 20. There are also 15 firms presently at the project stage. The distribution of firms operating at medium or small scale in different sectors is given in the following table:

GEPOSB SECTORS

SECTORS

NUMBER OF FIRMS

FOOD INDUSTRY

3

TEXTILE AND CLOTHING INDUSTRY

3

PLASTIC INDUSTRY

23

CHEMICAL INDUSTRY

4

PETRO-CHEMICAL INDUSTRY

1

METAL GOODS INDUSTRY

1

AGRICULTURAL IMPLEMENTS AND MACHINERY MANUFACTURING INDUSTRY

13

OTHERS

28

TOTAL

76

Around 4500-5000 persons are currently employed at the firms operating in our Industrial Zone.

3. MANAGEMENT OF GEPOSB
Gebze Plastic Manufactures Organized Industrial Zone is directed and administrated by the Enterprising Board chaired by the Governor of Kocaeli. The enterprising Board composed of 9 persons representing the Plastic Manufacturers Collective Workplace Building Cooperative and 2 persons representing the Provincial Private Administration takes decisions on all financial administrative and technical matters, and renders the necessary enforcement and supervision

The Board of Directors of OSB is formed of 5 member elected by the Enterprising Board from among its members. The Board of Directors is responsible for directing and administrating the Organize Industrial Zone. The Board of Auditors of OSB is formed of 2 members.

The Director of OSB performs the directing and administration of the Organized Industrial Zone in accordance with the decisions and instructions of the Board of Directors and Enterprising Board, the provisions of relevant Laws and Regulations, the Protocol of Establishment and other applicable regulatory arrangements.

When the number of enterprises that evidence their commencement of operation in OSB by obtaining a
â€œWorkplace Opening Authorizationâ€ reaches 1/3 of the total number of enterprises planned to be opened in OSB the participants will participate in the Enterprising Board with the member to be elected from among themselves.

4. GEPOSB TODAY

4.1. Geographical Location
Gebze Plastic Manufacturers Organized Industrial Zone is located on the TEM Motorway, at distance of 50km from Ä°zmit, 36 km from Ä°stanbul and 36 km from the Center of Gebze Provincial District. It is connected to big metropolises by E-80 and TEM Motorways. It is also located at a distance of 20 km to KurtkÃ¶y SABÄ°HA GÃ–KÃ‡EN Airport. Its closeness to seaports serves a great advantage.

4.3.Land Utilization Values Overall Total Area of Organized Industrial Zone: 133.5 hectares
Total Area of Industrial Lots : 99 hectares
Total Area of Social Facilities : 3 hectares
Total Area of Sports Facilities : 1 hectares
Total Area of Forking Lots : -
Total Area of Parks : -
Total Area of Technical Infrastrucures : -
Total Area of Roads : 20 hectores
Total Area of Green Spaces : 10.5 hectores

Overall Total : 133.5 hectores

4.4. Existing Infrastructures and Facilities

The construction of asphalt roads providing access to every location in the Organized Industrial Zone, the Sidewalks and borders and the rainwater drainage network has been completed.

The utility water network designed to meet the water needs of the Organized Industrial Zone has been completed together with the pumps provided and the water lifting center and the piping network to supply water to each lot. A water storage tank of 1000 m3 capacity has also been installed.

The electric energy of 154 kV obtained from the national interconnected network is distributed to the manufactures through, the transformer buildings provided within the Organized Zoneâ€™s Internal Network after it is reduced to 34.5 kV the GOSB Transformer Center. The protection of the social facilities of OSB Directorate as well as the factories against any risk of fire is ensured by 74 fire hydrants placed at regular intervals on the Zoneâ€™s roads and by 2 fire engines and fire-protecting personnel ready to serve during 24 hours of the day.

The works related to the installation of a health under belonging to OSB Directorate is continued. The points of entrance to the Zone are provided with signboards showing the location of various facilities and with name plates indicating the names of avenues, streets and facilities.

An underground network having 1200 lines has been installed and put into service for the Organized Industrial Zone to meet the communication needs of industrial plants operating in the zone. The communication infrastructure has been completed and the telephone needs of manufactures are promptly met upon their application to OSB Directorate and TÃ¼rk Telekom.

In order to ensure trouble-free operation of mobile phones, a base station has also been installed. The total length of telephone network is 16km.

4.4.1. Electric Network
The electric energy for the Zone is purchased from AK ENERJÄ° A.Å. by measuring the total amount at the point of its entry to OSB, and is distributed to the manufacturers by OSB Directorate.

The Electric Network and Transfor Building belong to the Organized Industrial Zone. The operation of electric network as well as its maintenance and repair are carried out by OSB Directorate. Our Zone is one of the consumers drawing highest amount of power from AK ENREJÄ° A.Å. Our average monthly consumption is around 6 million kWh. The power is supplied to the firms by the 154/345 kV GOSB Reduction center receiving energy from the 70 MVA interconnected network, and all failures and defects to occur in the supply lines between the outlet of said Reduction Center and the manufacturerâ€™s feeder are corrected by OSB Directorateâ€™s personnel working 24 hours of the day. It is aimed that all failures are corrected withing a very short period of time to enable the firms to use electric energy uninterruptedly. The reading of electric meters of firms operating in the Organized Industrial Zone as well as the invoicing of the cost of consumption are also performed by the OSP Directorate personnel.

The average annual loss of energy (lighting, transformers, AG-OG, et) is around 1-2 % which is quite lower than Turkeyâ€™s overall average.

4.4.2. Drinking and Utility Water
The water needs of OSB are met by the wells belonging to OSB. Water is also supplied from Ä°SUâ€™s YuvacÄ±k Dam since 2006. A spare water storage fank of 1000m3 capacity is also provided in OSB. Chlorinated water is supplied to the network uninterruptedly for 24 hours of the day.

Upon written application of manufacturers operating in OSB, a subscribed consumer agreement is made with the manufacturer to meet its water needs. The number of subscribed consumers has reached a figure of 90 as of 2005.

The quality of water is continuously checked by taking samples from the network in regular intervals, and having them subjected to biological and chemical analyses by an accredited laboratory. Any failures and detects occurring in the Network and in the water Lifting Center are corrected by OSB Directorateâ€™s personnel.

The monthly average water consumption of OSB is 25.000m3.

4.4.3. Water Treatment and Sewage Network
The sewage network of OSB has also been completed, and the wastewater treatment plants have been so planned as to be able to accomplish physical, chemical and biological treatments. The Stage I of wastewater Treatment Plants having a capacity of 1500 m3/day has been completed and put into trial operation. Its Stage II is designed to have a capacity of 3000 m3/day , and its construction is planned to be started after its project is reviewed according to the needed capacity based on the development of the manufacturing facilities operating is OSB.

At every stoge of our Organized Industrial Zone, the problem of wastewater treatment has been planned to be solved through the provision of a common, central treatment plant.

In necessary cases, however, the manufacturers operating in our OSB are obliged to install a pre-treatment plant.

Number of manufacturing facilities expected to be installed on the assigned lots

140-150

Number of manufacturing facilities already operating

103

Number of manufacturing facilities whose construction is continued

9

Number of manufacturing facilities in project stage

10

Number of personnel employed at the manufacturing facilities already operating

9000-9500

Number of vacant lots in OSB

72

6. Distribution of Establishments in Article Operation by Sectors

The distribution of establishments operating actively on the lots assigned is summarized below according to their filds of activity:

Food sector 3

Textile Sector 3

Petrochemical Chemical sector 4

Machinery Metal Goods Sector 14

Wooden Goods-Furniture Sector 1

Others 26

Drugs-Medical Articles Sector 2

Plastics Sector 23

7. GEPOSBâ€™s Contribution to Kocaeli/Gebzeâ€™s Economy
GEPOSB has become a brand. With the technical information tried to be summarized above, the Gebze Plastic Manufacturers Organized Industrial Zone (GEPOSB) is a major project. Through this project, an organization representing a unique structure compatible with the geographical location and economic characteristics of Gebze, producing goods and services with high Added Value, and featuring a structure of built-up best suited to the economy of Gebze/Turkey has been realized.

Furthermore, the industrial investments to be made in the Region have been brought together with the Organized Industrial Zone, preventing the scattering of investments as well as the waste of resources, to the most possible extent.

Accomplishing to realize all its project targets outlined above ranging from fire-fighting organization to health center, from electricity to drinking and utility water and from infrastructure investments to superstructure investments, GEPOSB is ablo to successfully provide itâ€™s participating investors with all the services they may need, throughout 24 hours of the day as required. Itâ€™s a result of its successful woks, GEPOSB has accomplished to obtain a truly deserved position and reputation among Turkeyâ€™s other organized industrial zones.

GEPOSB also furnishes building and inhabiting permits and workplace opening authorization to its participating establishments. By starting the ISO 9001-2000 works GEPOSB has taken a further important step in the standardization of services and qualifications.

With the attainment of a figure by 4500 persons employed at the firms currently in operation, GEPOSB has accomplished to serve as an important center of employment for the economy of Gebze.
Since the goods produced by the firms in active operation are predominately expert products aimed for foreign markets, the success of the firms has a direct favorable effect on the countryâ€™s economy as well as on the economy of KOCAELÄ° / Gebze. As the export-oriented firms predominate in OSB, and since they are affected by the short-term economic fluctuations taking place in Turkey to the smallest possible extent the adverse effect on both the economy and employment in the Region happens to be as small as possible.

We may say that as a result of investments realized in Gebze Plastic Manufacturers Organized Industrial
Zone, the firms currently in operation in OSB has made a monthly economic contribution of over 25.000.000 EURO (as an estimated figure) to our countryâ€™s economy.

8. GEPOSB IN THE FUTURE
With its proven very successful structure, it is an undisputed matter that GEPOSB will contribute greatly to the economy of both Gebze and our Country in the future years as well. A very significant portion of the targeted figure of 15.000 employees has been realized already.

When the uncertainties experienced in these days are overcome, the investments in GEPOSB are expected to be highly accelerated so that the full capacity will be reached in 5-8 years.